Entering Vendor Refund without bill or inventory

I've got you covered on how to enter a refund from a vendor when there is no bill or inventory involved in QuickBooks Desktop.

There are different ways how to enter a refund from a vendor in QuickBooks. Based on your scenario, we can record a Deposit of the vendor check and then a Bill Credit for the returned items. Once done, we can link the deposit to the bill credit. Just follow the instructions below to properly record the refund. 

Record a Deposit of the vendor check:

1. Go to the Banking menu, then select Make Deposits.
2. If the Payments to Deposit window appears, press OK.
3. In the Make Deposits window, choose the Received from the drop-down and choose the vendor who sent you the refund.
4. In the From Account drop-down, select the appropriate Accounts Payable account.
5. In the Amount column, enter the actual amount of the Vendor check.
6. Enter the remaining information in the Deposit.
7. Press Save & Close.

Record a Bill Credit for the returned items:

1. Go to the Vendors menu, then select Enter Bills.
2. Choose the Credit radio button to account for the return of goods.
3. Enter the Vendor name.
4. Tap the Items or Expense Tab.
5. Enter the returned items with the same amounts as the refund check or select the appropriate expense account.
6. Press Save & Close.

Link the deposit to the Bill Credit:

1. Go to the Vendors menu, then select Pay Bills.
2. Check the Deposit that matches the Vendor check amount.
3. Click Set Credits and apply the Bill Credit you created earlier then select Done.
4. Click Pay Selected Bills, then press Done.

For other options on how to record refunds you received from a vendor, you can check out this article: Record a vendor refund in QuickBooks Desktop. In addition, you can use this resource to guide you if you need to fix AR and AP balances on a cash basis Balance Sheet for future reference: Resolve AR and AP balance on a cash basis Balance Sheet.

Keep me posted if you still have questions or concerns about managing vendors' refund in QBDT. I'll be around for you. Have a great day!

@mb_sd1 

The advice given by QB is far too complicated.  Just create a credit card credit (Banking > Enter Credit Card Charges > Click 'Refund/Credit' radio button) and assign the same Office Supplies expense to the credit that you applied to the purchase.  

The easiest way to handle a refund from a vendor in quickbooks, without worrying about inventory, is just to record it as a refund right in your accounting stuff. I mean, you don't gotta jump through hoops here. Here's a simple way to do it:

First, head over to the banking or check register area where you got the refund. Make sure to enter teh refund amount as a deposit, with the vendor as teh payee, like target in this case. Use the same account you originally used to categorize the purchase, like "office supplies," so it's all consistent.

Skip the credit memos unless you're thinking about future vendor credits - it’s more hassle than you need for a straight cash refund.

Why this works? It keeps things uncomplicated and saves you from extra records that don't really help with quick cash refunds.

It's a bit annoying at first, but once you get the hang of it, it’s smooth sailing. I had to tweak this once myself, and it made life so much easier.